JetBlue Airways Corp. would consider deferring deliveries

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YORK, March 8 (Reuters) - JetBlue Airways Corp. would consider deferring deliveries of some aircraft or issuing new equity as it seeks to keep its debt under control, its chief executive said on Wednesday.

"We're going to look at (slowing deliveries) very seriously as we look at our routes and where the capability is and where the substantial profitability (is)," David Neeleman, the airline's founder, said at an investor conference. He said the airline, which is forecasting a full-year loss, would also consider selling new shares as it seeks to keep its debt at no more than 75 percent of its total capital.

If the New York-based airline did delay deliveries of aircraft it has on order from Airbus or Embraer , it would be a significant retreat from the aggressive growth strategy the airline has pursued so far.

Neeleman said that given strong demand from airlines elsewhere for both of JetBlue's mainstay planes, the Airbus A320 and the smaller Embraer E-190, it would be easy to defer the planned deliveries. "One of the advantages we have is that we have airplanes that are very desirable on the world market," he said.

The airline is slated to take delivery of 17 A320s this year and 17 next, and 18 E-190s in each of 2006 and 2007, boosting its fleet to 162 planes from 92 at the end of 2005.

[ END - http://www.reuters.com Fair use excerpt ]

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